Post by account_disabled on Mar 4, 2024 9:03:26 GMT
Parent companies that face tax debt collections from their branches on a daily basis also question whether they can offset tax credits between them. These issues resulted in different positions in the Federal Regional Courts and Superior Courts. The concept of company is taken from article 966 of the Civil Code [CC]: "anyone who professionally carries out organized economic activity for the production or circulation of goods or services". Thus, the performance of an economic activity aims to obtain a profit. As a rule, it is expected that a business company, in the midst of its activities, will be burdened with various responsibilities, such as: paying employees, purchasing inputs, collecting taxes, as well as fulfilling its core activity.
However, sometimes companies are unable to meet their obligations. And, when the default is on the part of your branch, their respective headquarters also end up becoming targets of legal charges. Having made these considerations, we now provide a brief concept of what a parent company and a subsidiary are. A paidered a branch of the parent company a subordinate EL Salvador Mobile Number List establishment but with a certain decision-making autonomy . The autonomy of the branch is limited to the administrative and operational scope for supervisory purposes, however, this autonomy does not extend to legal autonomy, as established by the Superior Court of Justice. The fact that branches have their own CNPJ gives them only administrative and operational autonomy for inspection purposes, not encompassing legal autonomy, as there is a relationship of dependence between the CNPJ of the branches and that of the head office.
From a tax perspective, it is necessary to highlight the principle of autonomy of establishments, in order to verify the obligations and responsibilities of the subsidiary company before the Public Treasury. This principle prescribes that business establishments must be considered as an autonomous and independent unit in legal-tax relations before the Public Treasury, as well explained by Minister Mauro Campbell Marques: The tax principle of the autonomy of establishments, whose normative content prescribes that they must be considered, in the form of the specific legislation for each tax, autonomous and independent units in the legal-tax relations carried out with the Tax Administration, is an institute of material law, linked to the question of the origin of the tax obligation for each tax specifically considered and is not related to the financial liability of debtors provided for in a rule of procedural law, or with the limits of liability for the assets of the company and partners defined in the law business.
However, sometimes companies are unable to meet their obligations. And, when the default is on the part of your branch, their respective headquarters also end up becoming targets of legal charges. Having made these considerations, we now provide a brief concept of what a parent company and a subsidiary are. A paidered a branch of the parent company a subordinate EL Salvador Mobile Number List establishment but with a certain decision-making autonomy . The autonomy of the branch is limited to the administrative and operational scope for supervisory purposes, however, this autonomy does not extend to legal autonomy, as established by the Superior Court of Justice. The fact that branches have their own CNPJ gives them only administrative and operational autonomy for inspection purposes, not encompassing legal autonomy, as there is a relationship of dependence between the CNPJ of the branches and that of the head office.
From a tax perspective, it is necessary to highlight the principle of autonomy of establishments, in order to verify the obligations and responsibilities of the subsidiary company before the Public Treasury. This principle prescribes that business establishments must be considered as an autonomous and independent unit in legal-tax relations before the Public Treasury, as well explained by Minister Mauro Campbell Marques: The tax principle of the autonomy of establishments, whose normative content prescribes that they must be considered, in the form of the specific legislation for each tax, autonomous and independent units in the legal-tax relations carried out with the Tax Administration, is an institute of material law, linked to the question of the origin of the tax obligation for each tax specifically considered and is not related to the financial liability of debtors provided for in a rule of procedural law, or with the limits of liability for the assets of the company and partners defined in the law business.